Customs seeks to tighten export rules in crackdown on origin loopholesListen to this articleThe Customs Department wants to tighten local content criteria for goods produced in free zones to prevent the misuse of Thai origin privileges for exports to the US. Under local content rules, products that use at least 40% domestic raw materials and labour are deemed to originate in Thailand. However, some operators have exploited loopholes in the local content calculation for free zones. This constitutes a false claim of Thai origin, from which Thailand gains no real benefit, Mr Phantong said. He said the department is drafting a Finance Ministry notification to tighten local content rules in free zones.
